World News & Politics

Trade Tensions Rise as China Reacts to Trump’s Iran Sanctions

6
Chinese President Xi Jinping
Chinese President Xi Jinping

China issued a swift response Tuesday after President Donald Trump announced new tariffs targeting countries that do business with Iran, a move that could strain already fragile trade relations between Washington and Beijing.

Less than 12 hours after Trump’s announcement on Truth Social, China’s Foreign Ministry sharply criticized the tariffs, warning they could escalate global trade tensions. Spokesperson Mao Ning said China opposes tariff wars and will act to protect its interests.

There are no winners in a tariff war,” Mao said. “China will resolutely safeguard its legitimate rights and interests.

China’s embassy in Washington also condemned the decision, calling the measure beyond legal norms and an example of unilateral action by the United States.

Under the new policy, the U.S. will impose a 25% tariff on any country that conducts business with Iran. Trump said the measure takes effect immediately and applies to all trade with the United States by countries that maintain commercial ties with Tehran.

The move could carry broader consequences for U.S.–China relations, as Iran remains China’s largest trading partner in the Middle East. The two sides reached an interim trade agreement in late October, easing U.S. tariffs on Chinese goods while Beijing paused restrictions on rare earth exports.

China said it “firmly opposes unilateral sanctions and long‑arm jurisdiction,” and warned it would take “all necessary measures” to defend its economic interests, according to a statement posted by the Chinese Embassy on X.

Trade analysts say the move raises the risk of renewed escalation. Deborah Elms, head of trade policy at the Hinrich Foundation, said if fully enforced, the tariff would represent a sharp increase from current levels.

“The last time we played this game, we ended up with tariff levels at 145%,” Elms said. She warned of a potential back‑and‑forth response that could further block U.S. agricultural exports such as soybeans.

Trump’s decision comes amid ongoing unrest in Iran, which Iranian officials describe as foreign‑backed riots. The unrest has reportedly left dozens dead, with some estimates higher but unverified, including civilians and security personnel.

Iran’s currency has since fallen to record lows against the U.S. dollar, worsening an economic crisis driven by long‑standing sanctions. Tehran claims external actors are exploiting public anger to weaken and destabilize the country’s leadership.

Written by
Sazid Kabir

I've loved music and writing all my life. That's why I started this blog. In my spare time, I make music and run this blog for fellow music fans.

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